Welfare Reform Bill

Lord Newton of Braintree Excerpts

Wednesday 25th January 2012 Lords Chamber

[Lord Freud]

My Lords, Clause 129 enables relevant information to be shared between DWP, local authorities and others for prescribed purposes relating to the operation and administration of welfare services and social security benefits. As thinking has developed in relation to new data-sharing arrangements, it has become apparent that we may want to supply social security benefit information to local authorities in connection with the administration of localised council tax schemes. These amendments will enable that, and will allow local authorities to share such information between and within themselves for the purposes prescribed. Making social security information available in this way will help local authorities design and deliver schemes that provide appropriate financial support to residents who are unable to meet the full cost of their council tax. I beg to move.

[Lord Newton of Braintree]

My Lords, I just want one penn’orth. I completely support these amendments, but they give me the opportunity which I missed earlier in these proceedings to record on the Floor of the House that the single silliest thing in this whole affair is the determination of the Department for Communities and Local Government to have separate council tax benefit systems in every corner of the country. That is a battle to be fought again on another day. I had devised an amendment that could have brought it up today, but I decided that discretion was the better part of valour at this stage. However, there is a local government finance Bill coming down the path. My noble friend—and, above all, his noble friends in the DCLG—should know that some of us are going to go on worrying away at this total absurdity, which I know is not supported in the DWP itself. These amendments may help to mitigate the effects but they will not completely eliminate them, and I shall go on trying to eliminate them.

[Lord McKenzie of Luton]

My Lords, I concur completely with what the noble Lord, Lord Newton, has just said. We obviously will not oppose these amendments, but that should not be taken to mean that we are supportive of this proposition. When I say that I concur completely, I am not saying I am sure that this is the single silliest thing in this Bill—but it is certainly in the top 10. The briefing note that we had makes it clear that the support for council tax in future is likely to be based on a system of means-tested discounts. How on earth that can sit sensibly with universal credit and single tapers is a mystery to me. Maybe we will be enlightened when we get that legislation, which I think will come our way quite shortly. We could have a long debate around this today, as it is a real flaw in the universal credit, but I accept the need for this amendment, as it makes the data-sharing coherent.

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This is a cost-free amendment. Any minor administrative costs associated with it are surely worth it if they ensure that the money voted by Parliament to assist some of the most vulnerable groups in society is channelled to those groups for the purposes intended. I believe that the Minister genuinely wants to meet us half way on this issue, and I hope that this amendment provides him with the means of doing so; or, if there are problems with the drafting, that he will bring forward a similar amendment at Third Reading. I beg to move.

[Lord Newton of Braintree]

My Lords, I can hope only that my noble friends on the Front Bench have already realised that Newton on Wednesday will not necessarily be the same as Newton on Monday. After Monday, I am amazed that the noble Baroness, Lady Lister, is still prepared to accord me hero status. I give her full credit for that. I do not know whether she regards me as adequate cavalry in substitute for the noble Lord, Lord Kirkwood, or, indeed, the noble Lord, Lord Blair, but here I am on my charger doing the best I can.

I indicated in the earlier debate that I was a heretical supporter of ring-fencing and that I did not want to see this Social Fund money frittered away on other things. All I am going to say now is that I agreed with every word that the noble Baroness said. I had better say straightforwardly to the Minister that if this amendment is pressed and we have not had what I regard as a satisfactory reply, I shall be strongly tempted to vote with the noble Baroness, should she press the matter. In saying this, I am linking it back with my earlier remarks. I have no doubt whatever that the obstacle here is not my noble friend—he cannot comment on this—but the DCLG. I do not think that the localism agenda should stand in the way of making sure that money spent for the purpose of these vulnerable people is spent on these vulnerable people. I therefore strongly support the thrust of the amendment.

[Lord Skelmersdale]

My Lords, the key to this amendment—I go a long way with my noble friend Lord Newton on what he has just said—is the settlement letter. What I think the House will need to know is what happens when the local government organisation in question does not abide by the settlement letter. On the answer to that, I suspect, will depend the decision of the noble Baroness on whether or not to call a Division.

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[Lord Morris of Aberavon]

My Lords, I rise in support of the noble and learned Lord. This is my first intervention in this Bill and it will be brief. I hope that my experience as a constituency MP will be of some assistance to the House. In that capacity I was, I am sure like all MPs, overwhelmed by the number of cases arising from problems of dealing with the CSA. The majority were wives. Mine was a heavily industrialised constituency and industrial workers were not overpaid. The problem was trying to get two family incomes from one pot. All the difficulties arose from that. They were mostly, in fact all in my case, people of modest means. They came to their Member of Parliament because all else had failed. The CSA had failed. It did not have a glorious record. The proposal passed through the House of Commons far too quickly, almost on the nod. It was hardly questioned. It has been relaunched more than once. People at the top were moved but to no avail. From what I heard from the Minister a few minutes ago, this is yet another relaunch. I suspect that the burden on MPs, although I am now out of touch, has not lessened in recent years.

I was aghast when I read the proposal to have a charge. How will it assist people of very modest means before they avail themselves of existing machinery—however bad and unsuccessful it was in many cases? What is the purpose of imposing such a charge on the most vulnerable people? It reeks of unfairness and I support the noble and learned Lord.

[Lord Newton of Braintree]

My Lords, if anyone wondered why I moved from my earlier position, they would have guessed that it was to stand shoulder to shoulder with my noble and learned friend Lord Mackay. He and I were in cahoots over the attempts to tackle this problem 20 years ago. We were in cahoots with what was said in Committee on this matter, and I have made it clear that I intend to remain in cahoots with him on this amendment.

I have not been at the meetings, but I have had a number of conversations with Ministers and I give them credit for being willing to talk to me as well. I think that my noble friend in front of me will acknowledge that I have consistently said that if they could satisfy my noble and learned friend, I would not seek to push it, but if they could not satisfy him, I would stick with him. Essentially, I share his views. I do not think that it is fair, right or productive. The letter that presumably went to everybody in the House was mostly convincing. I have no problem with the case for reform or the desire to cut the costs. I have no problem with the desire to encourage people to collaborate voluntarily. What I have a problem with is that I do not think that those general points connect to the conclusion that my noble and learned friend’s amendment is wrong. I shall vote for it if he decides to press it, following what has been said.

It is a simple position. I will not rehearse his arguments or seek to elaborate them. I shall make only one other point which relates to the 13-month review. I am in favour of a review, but the case for reviewing it after experience is stronger on the basis put by my noble and learned friend than on the basis put by my noble friend the Minister. If there is evidence that it is discouraging sensible, voluntary arrangements in the interests of children, we can look at it again then. I do not believe that it will—and this would need to be shown before we changed from the basic, fundamental proposition that it is not right, fair or just for a parent with care to have money deducted on these grounds from the money paid for her children.

[Baroness Butler-Sloss]

My Lords, in the family courts the welfare of children is paramount. It is particularly important to remember that in relation to the amendment that the noble and learned Lord moved, which I very strongly support. I have absolute, practical experience as a family barrister and judge, from long before the CSA came into being and took that work from judges. I have vivid recollections of a certain group of parents, principally fathers but occasionally mothers, who absolutely would not pay. There was no point in even asking them—although I understand why the Minister thinks that they should be asked. They would do everything in their power not to pay. The only way they can be got at now is through the commission. It can only do a better job than the CSA, which profoundly failed at the task it was set.

These parents will not pay, and the idea that a mother in very poor circumstances, left with young children by the father, may find herself having to seek social benefit from the state, which she may not have sought before, when the father may have money while she has nothing that the state does not provide, and may then have to pay a fee to try to get money for the welfare of her children, particularly where she has no money and the father may have some, is profoundly unfair. I respectfully and strongly support the noble and learned Lord, Lord Mackay of Clashfern, and hope that the House will support him, too.